Kemp suspends state gas tax amid shortage fears
The Governor signed an executive order that would prohibit the collection of Georgia's gas tax through Saturday
On Tuesday, Gov. Brian Kemp took executive action to help ease concerns from drivers about a potential shortage of gasoline.
The Governor signed an executive order suspending the collection of the state’s gas tax through at least Saturday. I told you on Monday about a massive cyberattack at Colonial Pipeline, the country’s largest gasoline pipeline. Colonial has shut down all operations since the attack, but drivers and some experts fear that a prolonged outage could lead to a spike in prices.
Federal investigators said on Monday that they suspect that a Russian criminal organization by the name of “DarkSide” is behind the attack. The Biden administration has not blamed anyone for the attack, but the President said that he is ready to take steps to better prepare businesses for these types of attacks.
The Governor’s executive order is coming as Georgia drivers are arriving to gas stations only to be met by bagged fuel pumps. The average price of a gallon of regular unleaded gas in Georgia has increased by 13 cents in the last week, according to auto service AAA. In Atlanta, drivers are now paying an average of $2.90 per gallon at the pump. As for the national average, it’s knocking on $3.00 a gallon.
Gov. Kemp hopes that this new executive order will ease fears about fuel shortages and price gouging, but he is also urging Georgians not to hoard. Emergency officials said over the weekend that they would like for drivers to take steps to limit the probability of shortages, such as filling up your tanks only halfway, completing all errands in one trip and using public transportation.
It’s not the first time a Georgia Governor has suspended the state’s gas tax. As noted by the folks at the Atlanta Journal-Constitution, Gov. Sonny Perdue did so in 2005 after Hurricane Katrina ravaged the gulf coast and caused fuel shortages. The suspension lasted for a month.
Colonial has not given a timeline as to when service will be fully restored, but the impact of the outage will be felt across the country if it is not restored soon. The timing could not be worse either, with jittery Americans preparing to hit the road for summer vacation after being locked down for over a year.